Chinese online lending platform Lufax, backed by the country’s second largest insurer Ping An Insurance Group Co of China Ltd, plans a Hong Kong initial public offering worth up to $5 billion in 2016, people familiar with the plans said on Thursday.
The company has not officially mandated banks to manage the IPO, but Goldman Sachs and Morgan Stanley are working on a private round of funding for Lufax and are expected to be involved in the listing, said one of the people, who could not be named because details of the deal aren’t yet public.
Ping An and Goldman Sachs declined to comment and Lufax could not be reached for comment. Morgan Stanley did not immediately reply to a Reuters request for comment.
Lufax had over 14.29 million registered users at the end of September, nearly triple the number at the beginning of the year, Ping An said in its third-quarter earnings report.
Trading volumes at the lending platform reached 926.4 billion yuan ($145 billion) in the first nine months of the year, nine times more than in the same period a year earlier, Ping An said.
The Wall Street Journal previously reported plans by Lufax to raise $5 billion in the IPO.
($1 = 6.3895 Chinese yuan renminbi) (Additional reporting by Engen Tham in SHANGHAI and Beijing Newsroom; Editing by Denny Thomas and Jane Merriman)